Offshore staff

CALGARY, Canada – Talisman Energy spent $1.2 billion last year on North Sea exploration and development.

The company’s main focus was on development projects at Auk South and Auk North in the UK sector, the Claymore replacement compression project in the UK, and Yme offshore Norway.

Talisman’s production from this region generated $600 million for reinvestment elsewhere, despite declining 19% compared with 2010, averaging 106,000 boe/d as a result of extended turnarounds and natural reservoir decline.

Following one planned turnaround at Claymore to complete remediation work last summer, production was re-established early in 4Q 2011. The Tartan platform had to be shut down throughout the quarter for safety-related upgrades, but production should resume by end-March.

In the Norwegian sector, following completion of the annual turnaround at the Rev field, issues related to the host platform delayed production from restarting until late September.

Work to ensure the Yme platform meets contract requirements and Norwegian specifications remains behind schedule. Talisman says it is working with the contractor to agree the best way forward to improve productivity and completing the outstanding work. It hopes to find a solution during the current quarter.

2/17/2012